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Liability insurance is…
A. Insurance that will pay for damage to your car in the event of an accident
B. Insurance that will cover injuries to yourself in the event of an accident
C. Insurance that will pay for damage done by someone who doesn’t have insurance
D. Insurance that will pay for injury to another driver and/or damage to their car if you are in an accident
Liability means being responsible for something, usually by law, so liability insurance is when insurance protects you from charges from the other party's injuries and/or damage to their car in the case of an accident.
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